tv The Journal Editorial Report FOX News February 6, 2010 11:00pm-11:30pm EST
give now, and lives will be saved. thank you. thank you. bull fighters, do you think. >> jamie: like this. >> rick: stick around the journal editorial report right now. . >> paul: this week on the journal editorial report, president obama's new budget, a record spending boom paid for by 2 trillion dollars in new taxes and the drone war, as the administration ramps up predator strikes against al-qaeda and taliban targets, the left begins to push back. plus, a social theory turned upside down, why crime rates have fallen as unemployment has spiked. welcome to the journal, editorial report, i'm paul gigot. president obama unveiled his budget for the 2011 fiscal year this week and despite talk of tough choices and spending freezes, the big news is a big
boom in new spending, including 25 billion dollars for states for medicaid and 100 billion for yet another jobs stimulus, all financed by record deficits and 2 trillion dollars in tax increases. joining the panel, deputy editor, dan ettinger. mary o'grady and senior economics writer steve moore. >> so, steve, the scott brown election in massachusetts was supposed to be sending a message about fiscal restraint against the growth in government, but this budget doesn't show that. what is the white house calculation here? i mean, political and economic? >> you know, paul, last week, i was in the-- at the republican retreat when president obama told the house republicans, i am not an idealog, but look at the budget and you see the opposite. massive increases in domestic spending on top of the fiscal stimulus bill. we'll borrow under this budget
in barack obama's first three years in office 4 trillion dollars. >> steve, i get that, but what is the white house calculation here, do they believe that this is going to grow the economy and therefore, we must spend to create jobs? is that part of it or is there something political here? is this a political document going into the elections? >> i think it's an ideological document. i think that barack obama does believe in the power of big government. he talks about all of these green programs that are going to create jobs and so i think it's really being driven by a view that this is a way to expand the economy. it hasn't worked, we saw with the unemployment rate, numbers that came out on friday that the economy still isn't creating jobs, despite this massive infusion of government and the stimulus. >> as a part of paul's question though, i just do not understand is what their political calculation is. i don't read it because as you said there was massachusetts. i personally believe that both the gubernatorial races in new
jersey and virginia also went to the republicans because the electorate in large part is very anxious about the level of spending that we're engaged in the past year, we started the year with a 787 billion dollar stimulus package and into the health care debate which was a trillion dollar proposal and now this. i think you get to levels of spending and the american people just get nervous about it. i mean, after all, they threw the republicans out of congress in 2006 because of spending. >> less' talk about the targeted tax cuts, the jobs tax credit, a zero rate for capital gains for some small businesses. is that big enough to make a difference to create jobs? >> well, the national federation of independent businesses has called it a drop in the bucket. >> really? >> yeah, there are a couple of reasons for that. i'll give you some examples, the capital gains tax cut. apparently, it's for c-corporations and only 25 percent of small businesses
would qualify for that. also, things like the $5,000 tax credit, you know, businesses are not going to shift their business plan for such a small amount of money. and what they're facing is, elimination of the bush tax cuts and a lot of policy mandates that the president is threatening like capital and trade, health mandates, higher taxes, all of those things have them very worried. so for them to take on new employees on their payroll in an environment of so much uncertainty is not-- they're not going to do that. >> and the health care bill still looms over that. >> right. >> i mean, the health care bill mandates that you provide insurance or if you don't you pay an 8% payroll tax. the small business federation is opposed to that. that's up in the airment on one hand proposing a tax credit and on the other hand, threatening a payroll tax. >> steve, let me ask you at least a little mini revolt among rank and file democrats who started to say, now what, we
probably ought to extend those bush tax rates, the lower rates which will january to expire on january 31st. is there agitating for that. could this build momentum and see the rates remain. >> let's hope the mini revolt turns into a major revolt? i think that would be one of the most important things that president obama could do to help stimulate the economy is simply announce look, we're not going to raise capital gains taxes, not going to raise dividend taxes and most importantly, apropos to what you were talking about, remember the income tax increases on the quote, unquote, rich. two-thirds of the people paying the rate increases in 2011 are exactly the small businesses that barack obama says he wants to help. >> politically, politically, do you think there's a cans the white house will turn on this if the economy remains weak enough there's little job growth the rest of this year? >> i really do. i think that almost no one
believes that raising capital gains and dividends and small business taxes if we still have high unemployment. i don't think anyone can argue that's a good thing. >> so you really think there could be politically a chance the white house could turn on this? you seem skeptical, paul, but i think they may see the light on this. >> i think their calculation is that, you know, job creation is a lagging indicator coming out of a recession and i think they're going to start to eat into the unemployment figure. >> and get some reduction. >> yeah, they're going to take credit for that and i think they're going to, with that, do better in the november elections than anyone thinks right now. >> than anyone thinks. this euphoria is at best-- >> they better be careful. >> in 1994 the economy was doing well and the republicans still had a big, big election. i'm not sure just an improvement in the economy is going to lead to these kinds of results. the point that dan made is so important, there's a revolt against big government that goes
beyond the unemployment rate. >> we're going to have a lot of time to debate this one. >> still ahead, the drone wars, president obama ramps up predator strikes against al-qaeda, but opposition to the al-qaeda, but opposition to the attacks is starting to emerge fresh and white. try mine. it whitens and i bet your breath will still feel fresh after the movie. [ female announcer ] new crest extra white plus scope outlast. for a fresh breath feeling that lasts up to 5 times longer. still fresh? yip. i want to be mad but it's tough with that smile. [ female announcer ] crest extra white plus scope outlast. sir? finding everything okay? i work for a different insurance company. my auto policy's just getting a little too expensive. with progressive, you get the "name your price" option,
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celebrate the moment >> american counterterrorism officials said this week that they believe the taliban leader in pakistan, massoud, has died of injuries he sustained in a u.s. drone strike last month. massoud has been blamed for a string of deadly militant attacks last month and described the responsibility for a blast at a cia base last year that killed. after this attack, drone strikes, taking place since the beginning of the year. as the attacks ramp up so does opposition to them. the american civil liberties
filed, questioning the legal basis of the predator drone program. we're back with dan ettinger and matt comiskey and editorial page writer colin levy. the president has wrapped up this predator campaign above what the bush administration was doing. how well is it working? >> well, it's quite dramatic actually. last year we had 50 attacks which is more than the last three years in the bush administration, as you mentioned this month, last month there were more than a dozen attacks. i think it's been the one unherded success of president obama's war on terror. in pakistan we've got kills, only this massoud. the. >> from before. >> the guy six months ago also killed by dron attacks and also used in yemen and killed 16 of the leaders of al-qaeda there. so it's been, it's amazing that we're debating this today. >> paul: and rather than just killing al-qaeda, now, with the
massouds, they're killing pakistan taliban. which means that the pakistanis are happy with that because we're killing the people who have been targeting their cities and their government? >> yeah, that's right. i mean, one of the attacks, i think just on january 29th, they struck the network in north waziristan, the debate now is whether they should push the drone attack into the south. >> the south. >> where the tough taliban go down into afghanistan. >> mullah omar. >> mullah omar. the debate inside the administration is how far to push this not pull it back. >> paul: and the pakistanis denounce the attacks and public and privately in the go ahead. >> i was in a meeting and foreign minister said we understand we're doing this, thank you for doing it and came out in the press conference and said i denounce admiral mullen. >> this is for domestic
political consumption because the association with the american war on terror is not that popular. >> look, i mean, i think pakistan is one of the most anti-american countries in the world, it is not popular there, but i think the mood there is shifting and there is clear support both in the pakistani military. >> paul: all right. colin, let me get to the opposition here, the american civil liberties union is starting to act. what is it doing? >> well, it filed the freedom of information request and what it's really looking for here is to make the obama administration justify what its doing. so, what it's challenging is the idea that this is sort of a new form of state sanctioned lethal force that as we've just been talking about untethered from geography. not in the traditional theaters of war, not just in iraq and afghanistan, it's happening in countries like pakistan and yemen. so, that's, that's what they're getting at here and that's what they're concerned about in terms of compliance with the
international law. >> paul: what do you think the next act would be. you get a freedom of information act request and let's say there's some disclosure about the program, which is highly classified now. is the ultimate goal here to stop the program by way of lawsuits? >> well, i think that the goal here is to just generally create sort of trouble for the obama administration and lawsuits can come in. i think what will happen is we'll see how well the obama administration decides to actually comply with the freedom of information requests and what the a.c.l.u. can then do is you know, challenge or make some trouble regarding you know, how well the administration's complying with providing information about that. >> is there any doubt that international law would allow such, allows for such attacks, even on a third party country? >> well, you know, the thing here, too, you have to remember is that this use of force was authorized by an executive order and president obama's, you know,
use of executive power here is very interesting and vis-a-vis how the a.c.l.u. is responding because it's the use of executive power that goes beyond some of what they objected to from president bush. >> paul: it's fascinating to me, i think, dan, if president bush were still doing this, would we see even more opposition to this, do you think? because as a democratic president who's doing it maybe some of the opposition from the left is more muted than it might otherwise be? >> i don't think there's any doubt that that's the case. i remember the swift program the treasury used to track terrorist. >> financing around the world. >> that was on the front pages and blown out of the water and i think for sure, so we're very fortunate in a sense that barack obama is president because it's very successful program is helping win that war. >> paul: and the intelligence director, dennis blair say they feel it's legal to target some american citizens who have turned and now are engaging in war with the united states overseas if they have to. >> that's been the case for the
last eight years, four people in the washington post reported who are american citizens who are on the list, remember, probably only two dozen people on the list who are not-- it's a very targeted list, but even in your international law you are allowed to kill your enemy and don't let us forget it. >> paul: even under international law. >> and declared war on us and the congress authorized force a week after 9/11, has been acting on that authority. >> paul: what about the prudential argument against this, which is that it causes a lot of collateral damage, civilian death and there for turns the pakistan public against the war effort and therefore is counter productive. >> i think it's one of the most overstated. drone has been shown to be one of the most human in war. never before have we been able to discriminate between the enemies and civilians. and the missile makes a boom in one small place and unfortunate as in massoud's case, both
massoud's case, their family were killed along with them. >> paul: all right. thank you, matt. when we come back, turning social theory on its head, if poverty is the root cause of crime, why are crime rates so crime, why are crime rates so low while unemployment is high? i drove my first car from my parent's home in the north of england to my new job at the refinery in the south. i'll never forget. it used one tank of petrol and i had to refill it twice with oil. a new car today has 95% lower emissions than in 1970. exxonmobil is working to improve cars, liners of tires, plastics which are lighter and advanced hydrogen technologies that could increase fuel efficiency by up to 80%. so i couldn't always do what i wanted to do. but five minutes ago, i took symbicort, and symbicort is already helping significantly improve my lung function. so, today, i've noticed a significant difference in my breathing. and i'm doing more of what i want to do.
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>> finally this week, a crime theory demolished. my next guest says that the economic recession has had at least one positive effect to once and for all disprove the claim that unemployment begets crime. as the economy began to shed jobs in 2008, criminalologists predicted crime would shoot up. the opposite has happened. more than 7 million jobs lost later crime in the united states has plummeted to the lowest level since the 1960's.
leather mcdonald a senior fellow at manhattan institute and contributing editor for "the city journal". >> glad to be here. >> paul: good news, crime rates have begun to fall. what kind of magnitudes are we talking about. >> extraordinary magnitudes. in the first six months of 2009 homicides dropped 10% nationally. >> paul: wow. property crime which is what you would really expect to go up if the root cause of crime theory is true, a response in inequality and property, property crime went down over 6% and violent crimes went down almost 5%. >> paul: so we're back at levels not seen since the 1960's and that's extraordinary. >> it is extraordinary and i credit the spread, ultimately, of efficient police saying and incarceration, but this is the exact opposite of what criminologists were hoping for, gleefully hoping that the crime drop began in the '90s nationally would finally reverse
itself and they could reclaim the dominance of the root cause of serious crime. >> paul: tell us about that, the development of this root cause theory. that developed in the 1960's and it's taken hold in the widespread elements within the academy. >> the academy and the media of course. the idea was that crime really was a form of social criticism that youth in inner cities came to understand that the american dream was a myth and a cool dilution and when they found that the society was blocking their advance, they would turn to crime as a form of social protests. >> paul: and that really became widespread not just -- and did begin to influence public policy, how so? >> extraordinarily police chiefs bought the theory as well, they couldn't affect crime and the fbi in the annual crime reports through the 1980's said that homicide is a societal problem
that police could not respond to. a big motivator for the war on poverty. gave the government an excuse to engage in massive redistribution of wealth and social programs. it could say these have public safety values since the police cannot bring crime down the way we have to bring crime down is to take money from the rich and give it to the poor, otherwise they will cause social havoc in the streets. >> paul: so this means, whatever you think of welfare programs, whatever you think of job creation programs or food stamps, whatever their utility as redistribution and income maintenance programs, what you're saying is that those have almost zero utility as crime fighting programs. >> we should have known this after the 1960's, paul. >> paul: that makes sense. >> because the 60's saw a 43% increase in homicides nationally. at the time when the economy was growing and what was really growing were government jobs. you had massive government jobs
programs in the inner city to try and stop crime, but in fact, it had no effect whatsoever. >> paul: so, this dramatic change, what does this tell you about policing policy going forward is this what should we focus on? >> it's a very optimistic story, paul. it shows that the government can create safety for its citizens by enforcing the rule of law, but it's also a cautionary tale. if crimes starts going up, it will be because cities rashly cut their police force and start emptying prisons. we've had a five-fold incarceration. >> you think that incarceration, no question in your mind that increasing incarceration has made a big difference? >> it incapacitates people and gets people off the streets. >> off the streets. >> we keep hearing a myth that the only people that we're sending more and more innocuous people to prison, that's not the case. the profile of the people going to prison today is not radically different than three decades
ago. it's still a lifetime achievement award for crime. >> paul: so, who are the heroes in this story, if you will? by that i mean intellectual, but also political. who ended up, who has changed the thinking here that has caused police forces to go back to actual crime fighting and has-- have helped to blow up this social theory of the last 40 years? >> without being too parochial i would claim new york city as the seed-bed of this revolution. in the 1990's, william bratten was police commissioner under rudolph guiliani. >> paul: went on to be police chief in los angeles. >> los angeles, and seen double digit crime drops since the recession. both chief bratten in l.a. and new york city's commissioner at the start of the recession were the only chiefs in the country which said we are going to keep lowering crime because we know how to do it. they've been proven absolutely right. homicides in new york of down 19% and l.a., we've spread
across the country a policing revolution that uses crime data obsessively and that holds local precinct commanders accountability. it's an accountability revolution as well as an information revolution. >> paul: all right, heather, good news for a change. thank you. we have to take one more break. when we come back our hits and when we come back our hits and misses of the week. [ female ] olay regenerist is on a roll. new anti-aging eye roller. reduces puffiness immediately -- and also helps with lines and wrinkles. not surgery. this is our way to do your eyes. new regenerist anti-aging eye roller. wow, coach, you really are back in the game. i took your advice, dan, and i lost 32 pounds on nutrisystem, and i feel great.
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matt, first to you. >> i want to give a missed opportunity to barack obama in europe where recall in '08 he won in a landslide. >> paul: even though they didn't vote. they could have. >> would have won by 50%, but this week president obama told them he would not be attending the annual eu-u.s. summit through a leak in the wall street journal. this makes for a pattern of snubs none more glaring towards nicolas sarkozy, probably the first pro american president in history. brought back france into n.a.t.o. last year, but he's not been able to get an appointment at the white house. he feels jilted by the president that he did so much to sort of put in office, he thinks and i think the question is, will the passing of obama mania in europe be the next shoe to drop. >> paul: all right, colin. >> paul, this week the medical journal from europe, the lancet finally retracted a 12-year-old study that suggested there was a link between the mmr vaccine,
measles, mumps, rubella vaccine and autism. a study that created sort of an international panic and had parents refusing to vaccinate their children and shows how dangerous clients can be when it receives the i am per matter after prestige gus journal. >> paul: can. >> super bowl sunday and i want to salute the super bowl refusenicks, they're engaging in an all american act of dissent. instead they'll be out there at empty swimming pools, golf courses and tennis courts and normally hard to get into restaurants. i think they're totally wrong to do this, but i salute them and honor their act of dissent against super bowl sunday. >> paul: all right. matt, why -- i think that president obama is right not to attend this gab fest in europe and what, it's not a very important event. you want to meet with the belgium prime minister, how important is that? >> i've been to more than one and i can appreciate he may n